Persistently Negative Free Cash FlowConsistent negative free cash flow, including a sharp deterioration to ~-₹341m, indicates weak cash conversion and ongoing funding needs. Over the medium term this undermines financial flexibility, increases reliance on debt or equity raises, and limits the company's ability to self-fund growth or cushion cyclical pressures.
Negative Operating ProfitabilityA negative EBIT margin despite much stronger gross margins shows the cost base and operating expenses remain too high relative to sales. Without structural cost reduction or scale improvements, the company risks failing to convert gross profit into sustainable operating earnings, constraining long-term profitability.
Increased Leverage Versus Historical LevelsLeverage rising from prior 0.11–0.26 to ~0.48 reduces financial flexibility, raising refinancing and interest risks. Given prior multi-year losses and weak cash conversion, higher indebtedness materially increases vulnerability to shocks and limits the company's ability to invest without further external funding.